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RTA said Metra should have used the proceeds of an insurance policy instead of negotiating a package with Clifford which is expected to top over $700,000. Rob Elgas reports.
(Published Tuesday, Aug 20, 2013)

Updated at 10:28 PM CDT on Tuesday, Aug 20, 2013

In a blistering report, the Regional Transportation Authority says members of the Metra Board were wrong when they made a decision to pay ousted CEO Alex Clifford a mammoth severance package rather than face him in court.

The agency’s audit staff says the Metra deliberative process was "flawed, and their decision to give Mr. Clifford a generous severance package was not financially prudent."

The RTA said Metra should have used the proceeds of an insurance policy instead of negotiating a package with Clifford which is expected to top over $700,000.

"RTA’s discovery of Metra’s insurance policy, which would have covered the costs of litigation and settlement, calls into question the reasons behind Metra’s decision to pay Clifford without notifying its insurance carrier," RTA Chairman John Gates said in a statement. "I urge Metra to review its insurance policy, and if it would still be financially prudent, Metra should immediately cancel Clifford’s severance agreement."